New Zealand businesses are adopting artificial intelligence at a surface level but remain cautious about deeper integration due to the absence of clear national regulations, according to experts. Researchers argue that the lack of a centralised AI framework has created uncertainty around what constitutes safe and responsible use, limiting companies largely to basic applications such as summarisation and productivity tools rather than full operational automation. Applied AI researcher Athar Imtiaz says organisations are hesitant to expand AI use because they lack formal guidance on compliance, risk standards, and accountability. While existing tools such as the Privacy Act and voluntary government charters provide some direction, they are not designed to regulate modern AI systems or define technical standards for validation and auditing. Concerns also extend to reliance on overseas-trained AI models, which may not reflect New Zealand’s local demographic, cultural, or health context. Experts warn this could lead to inaccurate or inappropriate outcomes in sensitive sectors such as healthcare. Some analysts suggest adopting international frameworks like the European Union’s AI Act as a reference point, while others argue New Zealand needs its own dedicated legislation to build trust, improve adoption, and support long-term AI capability and digital sovereignty.
Read more here
https://istart.com.au/news-items/unclear-rules-leave-nz-businesses-ai-shy
